The city of Yachats is giving restaurants and markets some extra time to pay quarterly food and beverage taxes that are normally due April 30 because all but a few have closed due to the coronavirus pandemic.
The city also announced Wednesday it is temporarily suspending water disconnections for late or non-payment and waiving late fees and penalties through the end of April. The city has more than 800 water customers.
Yachats is one of two Oregon cities with a sales tax on prepared food from restaurants and markets. In fiscal 2018-19 it collected $416,000 — some $70,000 of that coming in January, February and March. The money goes to pay loans used to construct the wastewater treatment plant.
The city has 16 businesses that collect the tax; only a handful are still open and most closed in early or mid-March. Thirty days after the end of each quarter they are required to pass their tax collections along to the city.
The city said Wednesday it will only require 25 percent of taxes collected in the January-February-March quarter to be paid by April 30 without interest or penalties. Another 25 percent can be paid by May 31 and the last 50 percent can be paid by June 30 without penalties.
“It’s the city’s intent to help lessen the economic impact of the coronavirus on our food and beverage establishments with these adjustments to required tax payments,” City Manager Shannon Beaucaire said in a news release.
The city expects a dramatic drop in transient lodging taxes it levies on motels and short-term rentals and is preparing a 2020-21 budget that cuts many expenditures.
Central Lincoln Peoples Utility District also announced this week that it will also halt electricity shutoffs due to nonpayment while coronavirus restrictions are in effect, and late fees will not be charged. It has closed its offices for in-person visits through April 27 because of social distancing recommendations, but is open by phone and electronically Mondays through Thursdays.
The utility has also started a Job Loss Assistance Program to help Central Lincoln customers pay their bills if they filed for unemployment benefits. More information is available on the utility’s website clpud.org or by calling 877-265-3211.